289 NLRB 851
Island Creek Coal Co.
ISLAND CREEK COAL CO.
Island
Creek
Coal
Company
and
United
Mine
Workers of America District 31. Cases 9-CA-
23181 and 9-CA-23663
July 14, 1988
DECISION AND ORDER
BY CHAIRMAN STEPHENS AND MEMBERS
JOHANSEN AND CRACRAFT
On June 30, 1987, Administrative Law Judge
William F. Jacobs issued the attached decision. The
Respondent filed exceptions and a supporting brief.
The National Labor Relations Board has delegat-
ed its authority in this proceeding to a three-
member panel.
The Board has considered the decision and the
record in light of the exceptions and brief and has
decided to affirm the judge's rulings, findings, I and
conclusions only to the extent consistent with this
Decision and Order.
The judge found that the Respondent unlawfully
refused to bargain with the Union over its decision
to subcontract work at its Tioga Surface Mine to
another company. We disagree with that finding.
In our view, the Respondent fully complied with
its statutory duty to bargain over subcontracting.
The collective-bargaining agreement in effect at
the time the Respondent subcontracted the work in
question contained detailed provisions concerning
the subcontracting of mining operations, referred to
in the contract as "leasing, subleasing and licensing
out of coal lands." The contract provides for the
circumstances and conditions under which subcon-
tracting will be permitted and, as is the case with
most of the contract's substantive provisions, pro-
vides that disputes are to be settled by agreement
or by use of a "Settlement of Disputes" procedure
culminating, where necessary, in arbitration.
In bare outline, the contract prohibits subcon-
tracting that is for the purpose of avoiding other
provisions of the contract or that results in laying
off the Employer's employees. Otherwise, subcon-
tracting is permitted, provided that the subcontrac-
i In finding that the judge properly rejected the Respondent's confi-
dentiality defense to the allegation of refusal to provide the Union with
information it had requested , we note that the Respondent did not assert
its claim of confidentiality until shortly before the hearing in this pro-
ceeding, and did nothing to test the Union's willingness to treat the infor-
mation in a confidential manner The Union's representative, on the
record of this proceeding, explicitly pledged to honor the confidentiality
of the information Absent proof that the Union was unreliable in respect-
ing confidentiality agreements, the Respondent's failure to test its willing-
ness to treat the information confidentially weighs heavily against its de-
fense Pertec Computer Corp., 284 NLRB 810 (1987)
In addition to the judge's reasons for finding the Respondent 's offer of
alternatives to the form of information requested by the Union to be inad-
equate, we find that, in any event, the Respondent's delay in offering the
information in any form until the eve of the trial, constituted an unlawful
refusal to bargain Interstate Food Processing Corp, 283 NLRB 303 (1987),
EPE, Inc, 284 NLRB 191 (1987)
851
tor agrees to offer employment first to the Employ-
er's qualified employees who are on layoff status.2
When the subcontracting that gave rise to the in-
stant charge occurred, a unit employee filed a
grievance that closely paraphrased the language of
the first paragraph of the applicable contract provi-
sion. The grievance alleged that the Respondent
"conveyed, leased, transferred or assigned its Tioga
Strip [mine] . . . in an attempt to avoid the appli-
cation" of the contract. The charge filed shortly
thereafter by the Union alleged, inter alia, that the
Respondent assigned, transferred, or conveyed "its
Tioga Surface Mine to another employer in order
to . . . escape its obligations pursuant to the collec-
tive bargaining
agreement." The complaint that
subsequently issued and is before us, however, al-
leges only an unlawful failure to give the Union
prior notice and an opportunity to bargain about
the Respondent's subcontracting the work at its
Tioga Surface Mine. And it is that subcontracting
issue alone that was litigated here. Our analysis of
the entire course of events convinces us that when
the parties reached agreement over the subject of
subcontracting in their 1984 contract the Respond-
ent fulfilled its affirmative obligation to bargain
over that subject for as long as the agreement re-
mained in effect.3 Thus, the parties have agreed
specifically on their respective rights and duties
concerning subcontracting. By operation of Section
8(d), the parties' substantive agreement relieved the
Respondent of the duty to bargain further over the
terms on which and the manner in which subcon-
tracting could be done. Consequently, the General
Counsel's case is fully rebutted by the established
fact that the Respondent bargained to agreement
over this subject. The only extent to which we find
it necessary to interpret the contract is to deter-
mine, as we have, that it is intended to cover the
situation that developed
when the Respondent
chose to exercise its asserted right to subcontract.4
Accordingly, we dismiss the allegation that the
Respondent failed and refused to bargain over sub-
contracting in violation of Section 8(a)(5) of the
Act.5
2 Sec. 1A(h) of the contract, covering this subject, is reproduced in its
entirety as "Appendix B" to this Decision and Order
2 We contrast this "affirmative" duty with the negative duty, described
in Sec 8(d) of the Act, not to terminate or modify the contract without
meeting the conditions specified in that subsection
No violation of that
negative duty is alleged in the complaint, nor was such issue litigated.
4 The Union's representative testified at the hearing that the contract
permitted subcontracting under certain circumstances but required the
Employer to notify the Union This accords with our reading of the appli-
cable contract language
5 The Respondent argues that we should defer this refusal-to-bargain
allegation to the grievance-arbitration procedure However, the Respond-
ent first raised this contention in its brief to the judge This was not a
timely assertion of the issue See
United Technologies Corp, 274 NLRB
504 (1985), and cases cited there
289 NLRB No. 121
852
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
ORDER
The National Labor Relations Board orders that
the
Respondent, Island
Creek
Coal
Company,
Craigsville, West Virginia, its officers, agents, suc-
cessors, and assigns, shall
1. Cease and desist from
(a) Failing and refusing to provide a complete
copy of the contract between Island Creek Coal
Company and Magnum Mining Company and cost
sheets for the Tioga Surface Mine operation for the
18-month period immediately preceding the Tioga
Surface Mine's closure in 1979.
(b) In any like or related
manner interfering
with, restraining, or coercing employees in the ex-
ercise of the rights guaranteed them by Section 7
of the Act.
2. Take the following affirmative action neces-
sary to effectuate the policies of the Act.
(a) Furnish to the Union a complete copy of the
contract between Island Creek Coal Company and
Magnum Mining Company and cost sheets for the
Tioga Surface Mine operation for the 18-month
period immediately preceding the Tioga Surface
Mine's closure in 1979.
(b) Post at its facilities in Craigsville, West Vir-
ginia, copies of the attached notice marked "Ap-
pendix A."6 Copies of the notice, on forms provid-
ed by the Regional Director for Region 9, after
being signed by the Respondent's authorized repre-
sentative, shall be posted by the Respondent imme-
diately on receipt and maintained for 60 consecu-
tive days in conspicuous places including all places
where notices to employees are customarily posted.
Reasonable steps shall be taken by the Respondent
to ensure that the notices are not altered, defaced,
or covered by any other material.
(c)
Notify the Regional Director in writing
within 20 days from the date of this Order what
steps the Respondent has taken to comply.
6 If this Order is enforced by a judgment of a United States court of
appeals, the words in the notice reading "Posted by Order of the Nation-
al Labor Relations Board" shall read "Posted Pursuant to a Judgment of
the United States Court of Appeals Enforcing an Order of the National
Labor Relations Board "
APPENDIX A
NOTICE To EMPLOYEES
POSTED BY ORDER OF THE
NATIONAL LABOR RELATIONS BOARD
An Agency of the United States Government
The National Labor Relations Board has found
that we violated the National Labor Relations Act
and has ordered us to post and abide by this notice.
WE WILL NOT refuse to furnish United Mine
Workers of America District 31 with information
relevant and necessary for the proper prosecution
of grievances.
WE WILL NOT in any like or related manner
interfere with, restrain, or coerce you in the exer-
cise of the rights guaranteed you by Section 7 of
the Act.
WE WILL furnish United Mine Workers of
America District 31 with complete copies of our
Tioga Surface Mine contract with Magnum Mining
Company and cost sheets for the Tioga Surface
Mine operation for the 18-month period immediate-
ly preceding its closure in 1979.
ISLAND CREEK COAL COMPANY
APPENDIX B
Section (h) Leasing, Subleasing and Licensing Out of
Coal Lands
(1) The Employers agree that they will not lease, sub-
lease or license out any coal lands, coal producing or
coal preparation facilities where the purpose thereof is to
avoid the application of this Agreement or any section,
paragraph or clause thereof.
Licensing out of coal mining operations on coal lands
owned or held under lease or sublease by any signatory
operator hereto shall not be permitted unless the licens-
ing out does not cause or result in the layoff of employ-
ees of the Employer.
(2) For purposes of lawfully preserving and protecting
job opportunities for the Employees working or laid off
from a particular operation covered by this Agreement,
and to assure that work opportunities are not eliminated
by lease or license arrangements, the Employer agrees
that it will not lease, sublease, or license out coal mining
operations which at any time were in operation by that
Employer and covered by this Agreement, unless the
conditions set forth in the following paragraph are satis-
fied:
Leasing, subleasing or licensing out of coal mining op-
erations covered by this Agreement shall be permitted
where the lessee-licensee agrees that all offers of employ-
ment by such lessee-licensee shall first be made (on the
basis of mine seniority) to the Employer's classified and
laid-off employees at the mine who have not secured
regular employment at any other operation of the Em-
ployer covered by this agreement, if such employment at
the leased, subleased or licensed out operations is for
jobs of the nature covered by this agreement, and if such
employees are qualified for such jobs. The lessee- licensee
shall not be required to make more than one such offer
of employment to each such employee.
(3) Acceptance or rejection of such an offer of em-
ployment made by a lessee-licensee or any personnel
action between the employee and lessee-licensee shall not
affect such employee's panel rights with the Employer as
established by this agreement.
ISLAND CREEK COAL CO.
853
(4) Any dispute regarding the rights of employ-
ees secured by subsection (2) above shall be re-
solved between the prior employer and the Em-
ployee under Article XXIII of this agreement. The
Employer agrees that it will reserve in any lease,
sublease or license subject to this section the ability
of the Employer to remedy any fording as to non-
compliance of an employee's right to be considered
for employment opportunity as provided herein.
(5) The prior Employer shall not be a guarantor or be
held liable for any breach of the lessee-licensee or its
hiring or bargaining obligations or the terms of any
agreement between the Union and the lessee-licensee.
(6) Within ten (10) days after the lease, sublease, or li-
censing out of any coal producing or coal preparation fa-
cilities, but in any event prior to the time that any classi-
fied work commences, the Employer shall provide notice
thereof to the appropriate district president. Such notice
shall disclose the identity of all parties to the transaction,
the location of the facilities affected thereby, and the
identity of the coal producing or coal preparation facili-
ties affected thereby.
(7) These provisions (Article IA(hX2) through (6))
shall not be construed to diminish any rights of employ-
ees or the Union established in any other provision of
this Agreement, including but not limited to the succes-
sorship clause or Article IA(h)(1).
Janette Johnson, Esq., for the General Counsel.
J.
Steve
Warren, Esq. (Jackson, Lewis, Schnitzler, and
Krupman), of Greenville, South Carolina, and Paul B.
Lindermann, Esq. (Jackson, Lewis, Schnitzler and Krup-
man), of Atlanta, Georgia, for the Respondent.
Jerry Miller, of Fairmont, West Virginia, for the Charg-
ing Party.
DECISION
STATEMENT OF THE CASE
WILLIAM F. JACOBS, Administrative Law Judge. This
case was tried before me on 15 and 16 October 1986 at
Charleston, West Virginia. The charge in Case 9-CA-
23181 was filed on 5 June 19861 by United Mine Work-
ers of America, District 31 (the Union). The charge in
Case 9-CA-23263 was filed by the Union on 26 June.
The consolidated complaint issued 28 July alleging that
Island Creek Coal Company (Respondent or the Compa-
ny) violated Section 8(a)(1) and (5) of the National
Labor Relations Act by entering into a contract with an-
other company for the mining of coal at a site that had
previously been mined by employees of Respondent in a
unit represented by the Union without giving prior
notice to the Union or affording the Union an opportuni-
ty to negotiate and bargain concerning such acts or the
effects; and by refusing to furnish certain information to
the Union concerning the contracting out of unit work.
Respondent, in its answer to the consolidated complaint,
denied the commission of any unfair labor practices.
i All subsequent dates are 1986 unless otherwise noted
All parties were represented at the hearing and were
afforded full opportunity to be heard and present evi-
dence and argument. The General Counsel and Respond-
ent filed briefs. On the entire record, my observation of
the demeanor of the witness, and after giving due consid-
eration to the briefs, I make the following
FINDINGS OF FACT2
The Respondent is a coal mining company with under-
ground and surface mines and other facilities located in
various
States including
West
Virginia.
Respondent
sometimes employs its own employees to work its mines,
but also subcontractors with other employers to work its
mines using the subcontractors' own employees to mine
the coal. One location where Respondent has mining
rights is at the Tioga surface mine located near Craigs-
ville, West Virginia.
Respondent first mined at Tioga in late 1971. At that
time it employed its own employees, all of whom were
represented by the Union. These employees not only
mined coal but also did whatever reclamation work was
necessary and repaired and maintained equipment. Re-
spondent continued to operate the Tioga surface mine in
this fashion until 1979.
During the 1970s Respondent worked the Tloga Mine
full time, stripping during two shifts and loading on the
third shift. Equipment used included endloaders, bulldoz-
ers, and a shovel. Employees included equipment opera-
tors, a drill crew, powdermen, mechanics, welders, elec-
tricians, and maintenance personnel. Coal mined at Tioga
was sent to a preparation plant to be washed. Respond-
ent closed down the Tioga surface mine in March 1979.
After closing down the Tioga surface mine, Respond-
ent kept four or five unit employees at the minesite to do
reclamation work. Their task was to fill in the pit, plant
grass seed, and put the land back into a contour similar
to that which it had been before being mine. The recla-
mation work was completed, for the time being, in June
1979 after which Respondent transferred the remaining
employees to one of its other facilities.
In April 1984 Respondent brought 10 or 11 bargaining
unit employees back to the Tioga site to do additional
reclamation work. They removed topsoil, mined some
coal, then covered the pit and seeded. The removal of
coal during this period was merely incidental to the rec-
lamation work and not a standard coal mining operation.
In 1985 Respondent obtained a new permit to mine
coal in a 170-acre area at Tioga immediately adjacent to
the area where its bargaining unit employees had mined
during the 1970s. The permit was obtained because Re-
spondent had received a small order for 30,000 to 40,000
tons of coal and because the Department of Natural Re-
sources had brought to Respondent's attention the fact
that there was a necessity for further reclamation, at the
old Tioga mining site. With these factors in mind, it was
Respondent's plan to mine coal on the newly acquired
170-acre site and use the overburden from the site to re-
2 The complaint alleges and the answer admits that the Board has ju-
risdiction and that the Union is a labor organization within the meaning
of the Act
854
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
claim the adjacent, previously mined Tioga surface site
thus cutting the cost of reclamation by partially paying
for it through the mining and selling of coal from the
new site.
To put its plan into operation Respondent brought
back to Tioga 10 or 11 bargaining unit employees to
mine coal and to reclaim land. Respondent pursued its
course of reclaiming and mining for about 6 or 7 weeks
but then determined that it was not economically feasible
to continue mining. When it lost the coal order on which
it was relying to help reduce the cost of reclamation, it
shut down the mine and laid off or transferred the bar-
gaining unit employees to other locations.
In late 1985 Respondent began to give considerations
to awarding a contract to an outside company to mine
coal at the Tioga site on the 170 acres that it had itself
been mining in 1985. This consideration was based on the
fact that certain of Respondent's officials became aware
of the availability of a short-term spot market contract
for coal at a production level of 700 to 800 tons per day,
a level far smaller than Respondent ordinarily pro-
duced.3 By February 1986 it was determined that the
coal at Tioga could serve the requirements of the spot
market contract and several coal companies were con-
tacted for the purpose of contracting out the coal mining
operation to one of them. Shortly thereafter, an official
of Magnum Mining Company, Russell Coleman, visited
the site, inspected the grounds and available equipment,
and advised Respondent that it would be willing to un-
dertake the project. Roy Dotson, Respondent's manager
of contract coal, northern division, testified that he had
considered several contractors but finally chose Magnum
after talking to Coleman. The decision as to which con-
tractor to use, according to Dotson, was based on the
relative financial condition of each, the kind of equip-
ment they intended to use, and the price they were
asking. The price paid to any potential contractor de-
pended on how much Respondent could obtain for the
coal when it sold the coal to a customer. The sale price
would have to cover the contractor's price.
In April Respondent and Magnum signed a contract
that required Magnum to mine Tioga coal and to sell and
deliver it to Respondent's Gully Eagle preparation plant
where it was commingled with coal produced by other
mining contractors and sold to Respondent's customers,
sometimes in the raw state,
sometimes after being
washed.
Under the contract Respondent provided
Magnum certain engineering services, surveys, the use of
equipment, repair services if desired, and supplies if
needed. If Magnum required repair or supplies from Re-
spondent, it was understood that Magnum would be
billed for such.
After the signing of the contract Magnum began
mining coal at Tioga. Respondent's 170-acre permit to do
8 According to Claude Simmons, Respondent's mine foreman, when
Respondent decides to contract out rather than mine with its own em-
ployees, the decision is based on an internal cost analysis. In the instant
case the decision to contract out the Tioga surface mine operation was
based on the short term, small production nature of the contract It was
decided that rather than invest all the necessary moneys into the equip-
ment that would be required to start up the operation, it would be better
to contract the work to another mining company
so was transferred to Magnum.4 Magnum used Respond-
ent's equipment to mine the coal, the same equipment
that had been used by Respondent's employees during
previous excavations. Magnum paid a fee in order to use
this equipment. Although Magnum could, under the con-
tract, have Respondent repair this equipment, also for a
fee, Magnum never chose to do so. Similarly, Magnum
never purchased supplies from Respondent for its Tioga
mining project although it could have done so.
Also, after the signing of the contract between Re-
spondent and Magnum, Respondent's management re-
viewed the names of employees who had formerly
worked at the Tioga surface mine, in anticipation of
Magnum's having to recall these employees, in accord-
ance with the labor agreement in effect at the time, and
found 14 names of bargaining unit employees on the
layoff panel list. Of these 14 employees, 10 were working
at the time for Respondent at its other facilities including
William Hayes who would eventually file the grievance
that would, in turn give rise to the filing of the charge in
the instant proceeding. The other four bargaining unit
employees laid off from the Tioga surface mine were
sent letters prepared in the office of Donald S . Basset,
Respondent's manager of industrial/employee relations
for the northern division, and signed by Coleman on
behalf of Magnum after Coleman had been advised by
Simmons that there was a contractual obligation to recall
these employees to Tioga. Coleman reviewed the letters
before they were mailed.
When actual work began at the Tioga surface mine,
Magnum immediately ran into trouble. At the start
Magnum had no new equipment. In fact it had virtually
no equipment at all. Rather, it used the exact same equip-
ment, the same bulldozers and endloaders , Respondent's
equipment, that had been used by bargaining unit em-
ployees working at the Tioga surface mine back in 1985.
Exceptions
were two augers, which Magnum later
brought on site, started up, but may never have used.5
The Island Creek equipment used by Magnum at Tioga
was old and in need of repair. Some of the repair work
on this equipment was performed by the four to six em-
ployees hired by Magnum to work at Tioga. Other re-
pairs were performed by independent outside contrac-
tors. Though the equipment belonged to Respondent,
none of the repairs were performed by Respondent's em-
ployees. It is conceded that the repair work performed at
Tioga by Magnum and independent contractors would
have been performed by bargaining unit employees
under the contract.
The frequent breakdown of the equipment at Tioga re-
sulted in substantial downtime for Magnum. The repair
work was paid for by Magnum, and Respondent was not
billed although it was Respondent's equipment that was
undergoing repairs. The frequency of repairs and result-
ant downtime caused Magnum to fall far below the 700
4 The permit was, at some time, modified to allow the use of augers
No such allowance was permitted under the old permit but there was a
stipulation on the Island Creek/Magnum contract that permitted the use
of augers
Respondent also owned an auger, which was an old model and had
never been put into use
ISLAND CREEK COAL CO.
855
tons of daily production required under the contract. In
some months Magnum averaged only 75 tons per day.
Magnum's failure to meet its quota and the reasons there-
for were closely monitored and reported to Respondent
by Claude Simmons, its overseer on the project.
Before actually beginning work at the Tioga surface
mine, Coleman visited the union office in Craigsville,
West Virginia, and advised the Union's representative
there that Magnum was going to take over the Tioga
surface mine operation. A meeting was scheduled for 9
May between Coleman and the Union's vice president,
Jerry Miller. At the meeting, attended by Miller, Cole-
man, and another union representative, Coleman advised
Miller that he had entered into an oral agreement with
Respondent that permitted Magnum to operate at the
Tioga surface mine; that the oral agreement was being
reduced to written form; that Magnum would have a
million tons of recoverable coal to mine under the con-
tract; that Respondent would require Magnum to furnish
it with 700 tons of coal per day; that Respondent would
pay Magnum $12.50 per ton for the coal it mined at
Tioga; and that Magnum would have to pay the hauling
bill for transporting the coal from the minesite to where
Respondent wanted the coal dumped out of the $12.50
per ton agreed on. Coleman informed Miller that he had
4 employees working for the past 2 weeks repairing the
equipment; that the equipment was in such a state of dis-
repair that it was going to cost him $30,000 to $40,000 to
put it in operable condition; that he had hired Lewis Ma-
chinery Company to help him overhaul Respondent's
equipment; that he planned to call 2 more employees to
work the following week; that at the peak of production
Magnum would employ 20 employees; that he would not
object to signing an agreement but wanted some excep-
tions to the NBCWA;6 that his agreement with Respond-
ent required that if he became signatory to a union con-
tract, Magnum, itself, would have to pay its own contri-
bution into the pension and trust funds; that as a small
operator, he could not afford to pay into the pension and
trust funds out of his $12.50 per ton as required by the
NBCWA;7 and that he would have to be selective about
employees he would be hiring. Regarding this last
matter, Miller told Coleman that there were a lot of Re-
spondent's employees who had panel rights at the Tioga
operation. Coleman disagreed stating that he did not
think that he was obligated to hire any of those people
and that he had been told by Respondent that Magnum
was required to hire just one employee previously em-
ployed by Respondent.'
Prior to the 9 May meeting between Coleman and
Miller, no one from Respondent ever advised the Union
of its intention to subcontract out the Tioga surface mine
operation. Similarly, Respondent never offered to bar-
gain with the Union concerning its decision to subcon-
tract the Tioga operation to a third party.
When Magnum first began working the Tioga surface
mine, its operation was discovered by William Hayes, a
bargaining
unit
employee of Respondent who had
worked at Tioga on previous occasions and was again
working there temporarily on reclamation work when
Magnum was present. On 9 May Hayes sought to bring
Magnum's presence at Tioga to the attention of Jerry
Miller who by that time was already aware of the situa-
tion. Hayes felt that he should have been offered em-
ployment by Magnum because of his seniority at Tioga.
Hayes and Miller discussed application of the contract to
the situation, and it was decided that Hayes should file a
grievance.
On 19 May a grievance was filed by Hayes:9
The employer has conveyed, leased transferred or
assigned its Tioga Strip to Magnum Mining in con-
tradiction to the NBCWA of 1984 and in an attempt
to avoid the application of said agreement. We are
demanding that the employer immediately cease its
improper actions and make whole any damaged em-
ployees, the Union and the Health and Retirement
Funds.
The grievance was filed with Simmons who took the po-
sition that Respondent had not violated the contract,
thus denying the grievance.
On 21 May, Miller sent a letter to Respondent's divi-
sion manager, Donald G. Bassett, industrial and employ-
ee relations, requesting a copy of the contract between
Respondent and Magnum Mining Corporation covering
the Tioga surface mine. Miller advised Bassett that the
contract was necessary to enable the Union to effectively
process the grievance, which Hayes had filed on 19 May.
Respondent did not immediately furnish the Union with
a copy of the requested document.
On 30 May the Union and Respondent met in order to
consider the grievance at its third step. 10 At this meeting
Miller accused Respondent of violating article 1(A)(h)(1)
of the contract by contracting out to Magnum Mining
Corporation work that should have been done by its
own employees in order to avoid application of the con-
tract. Further, Miller accused Respondent of violating
article l(A)(h)(6), of the contract by failing to furnish the
Union
with a copy of Respondent's contract with
Magnum and by failing to give the Union notice of the
agreement. Finally, Miller charged that Respondent had
violated the contract when it failed to require Magnum
to assume Respondent's obligations under the successor-
ship provision of the contract. Miller explained to Re-
spondent's representatives his understanding of the ar-
rangements between Respondent and Magnum as ex-
plained to him by Coleman at the earlier meeting. He
argued that the $12.50 per ton that Respondent had
agreed to pay Magnum was far less than the cost per ton
to Respondent mined at Tioga in 1979, and that this fact
proved that Respondent had contracted with Magnum to
avoid application of the contract agreed to between the
Union and Respondent.
6 National Bituminous Coal Wage Agreement
7 Miller testified that in the past he had agreed to grant relief to other
employees who were unable to meet the pension fund requirements
8 Magnum subsequently sent a letter to that one person but he never
went to work for Magnum
9 The language was Miller's.
10 The parties scheduled the meeting to take place at the Union's of-
fices
Hayes, Miller, and Chapman represented the Union while Bassett
and Simmons represented the Respondent
856
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
Miller advised Bassett that the Union intended to go
forward with the grievance and gave him a handwritten
request for certain information which he claimed would
enable the Union to proceed. Bassett in turn asked Miller
to have his request typed up and mailed to him. Miller
agreed. The information requested was
1. A complete accounting of the repairs to the
equipment on the Tioga Strip which were per-
formed at the direction of Magnum Mining. This
accounting should include an explanation of the
repair work, the number of people used, the total
hours worked by each person, the dates on which
the work was performed, and the total cost of the
work.
2. A copy of the cost sheet for the Tioga Surface
Mine for the last month during which coal was pro-
duced at Tioga and for the seventeen (17) months
preceding the last month of production. Please do
not count the months during which coal was pro-
duced incidental to reclamation work required by
state or federal regulations.
During the meeting of 30 May, Miller explained to
Bassett why he needed the information. He told Basset
that the Tioga unit work force had acquired jurisdiction
over repair and maintenance of the Tioga surface mine
equipment. He advised Bassett that in order to determine
whether the repair and maintenance on this equipment
had been contracted out improperly, it would be neces-
sary for the Union to know exactly what had been done.
The Union had to know what work subcontractors had
done at Tioga in order to decide if the Union's jurisdic-
tion
over repair and maintenance work had been
breached. The extent of repair and maintenance work
performed had to be known in order to show the arbitra-
tor the extent of damage to the Union and its member-
ship. Miller testified that, at the time, he had reason to
believe that Magnum was doing unit repair work.
Regarding the cost sheets, Miller told Bassett that the
Union needed these to show that Respondent's produc-
tion costs per ton in 1979 far exceeded the amount of
money it was paying Magnum to mine coal under the
contract it signed with Magnum in 1986 and that this
would prove its charge that Respondent was violating
section 1(A)(h)(1) of the NBCWA of 1984.
Bassett told Miller that he would call him once Re-
spondent's attorneys had made a decision concerning the
Union's 21
May request for a copy of the Island
Creek/Magnum Mining Corporation contract. Bassett
did not, at this time, advise Miller that the information
he was seeking was considered confidential although he
testified that this was one of the reasons he decided to
deny the Union the requested information.
Regarding the Union's request for a complete account-
ing of the repairs to the equipment on the Tioga strip,
which were performed at the direction of Magnum, Bas-
sett testified that Respondent had no information con-
cerning any such repairs and did no repairs, itself, on
that equipment.
Regarding the cost sheets requested by the Union, Bas-
sett testified that Respondent refused to provide the
Union with this information because a great deal of time
had passed since the 1977-1979 period and conditions
had changed since them so that the data requested was
no longer applicable to the problem at hand. In explana-
tion of how conditions had changed, Bassett testified that
the provisions of the applicable wage agreement had
changed; the conditions affecting the surface mining of
coal had changed; and the price obtained for mined coal
had changed. These changes, in turn, affected the cost
per ton that it would take to mine coal.
On 3 June Bassett replied by letter to Miller's 21 May
request for a copy of Respondent's contract with
Magnum. Bassett stated that he would be willing to
review the contract with Miller in Bassett's office on a
mutally agreeable date. At that time, according to the
letter, Miller would be permitted to "examine all perti-
nent information contained in the contract" but would
not be provided with copies of the contract. On the same
date Miller mailed to Bassett a typewritten request for
the information he had asked for at the 30 May griev-
ance meeting. He also mailed to the Board, on the same
date, a copy of the charge in Case 9-CA-23181. The
Region docketed the charge on 5 June.' 1
On 13 June Miller met with Bassett in the latter's
office. Bassett permitted Miller to review the entire con-
tract and to take notes therefrom. The contract, howev-
er, was incomplete in that it disclosed none of the mone-
tary figures. Missing were the dollar amounts that Re-
spondent had agreed to pay Magnum per ton of coal
mined; the dollar amounts that Magnum had agreed to
place in a performance escrow account; the dollar
amounts that Magnum had agreed to pay Respondent for
the lease of its equipment; and the amount of money that
Respondent was charging Magnum for electricity. Miller
advised Bassett that he was not satisfied with the infor-
mation proffered by the Respondent. He informed Bas-
sett that he felt that Respondent had committed a breach
of contract and that Union was entitled to a complete
copy of the contract in order to present its case at arbi-
tration. Bassett replied that he would relay Miller's mes-
sage to Respondent's attorneys.
About the time of, or shortly after, Miller's meeting
with Bassett, the Union sought from Coleman a copy of
Magnum's contract with Respondent. Coleman advised
the Union's representative that if he had a copy of the
contract he would forward it to Miller. On 19 June the
Union received from Coleman, not a copy of the con-
tract, but a copy of an invoice covering the period June
I through 15 showing how many tons of coal had been
mined by Magnum for Respondent, the type of coal, the
price paid per ton, the charges for power, deductions
from the escrow account, and the amount of UMWA
royalties paid per ton. A similar invoice was later re-
ceived from Coleman covering June 16-30.
On 26 June the Union filed the charge in Case 9-CA-
23263 alleging additional violations of Section 8(a)(1) and
" The charge alleged violations of Sec 8(a)(1), (3), and (5) The
Union charged Respondent with assigning, transferring, or conveying its
Tioga surface mine operation to another employer in order to escape its
obligations under the collective-bargaining agreement
ISLAND CREEK COAL CO.
857
(5) basing its charge on Respondent's refusal to supply it
with the information requested on 21 and 30 May.
In late June Respondent, filed an application to change
the permit covering the Tioga surface mine operation to
enable the use of augers on the minesite. The decision to
bring augers to the site may have been based on legiti-
mate business considerations . However, in light of the
outstanding charges against it, Respondent may have de-
cided to bring the augers to the site in order to give the
operation a superficial cosmetic change in appearance
and to rely on such change in its defense to the outstand-
ing charges filed against it. At any rate the augers were
not brought to the Tioga surface mine until some time
following August.
On 7 July Bassett sent to Miller a copy of the
Magnum/Island Creek contract which Miller had exam-
ined at their 13 June meeting. Like the copy of the con-
tract reviewed by Miller earlier, the one sent to him on 7
July was incomplete in the same respects as the earlier
one. Although Miller subsequently renewed his request
for the information asked for earlier, including a com-
plete contract with financial data, Respondent has re-
fused to supply information.
On 13 October, the day before the hearing in the in-
stant proceeding, Bassett sent to Miller a position state-
ment and an alternative offer to the information request-
ed. As to the accounting of repairs to the equipment on
the Tioga strip, Bassett stated that Respondent was not
in possession of such information; as to cost sheets for
the 1977-1979 period Bassett reiterated his position that
the information was irrelevant; as to the Union's request
for a complete copy of the contract Bassett reiterated his
position that the financial figures were confidential. In
the alternative, however, Bassett offered to compare the
cost sheets for the 18-month 1977-1979 period with the
price per ton that Respondent agreed to pay Magnum
and to provide the Union with the difference between
the figures. Bassett further offered to provide the Union
with the items included in the cost sheets and agreed to
have a mutually acceptable third party confirm the accu-
racy of the figures. The record does not reflect what
reply, if any, the Union made to Respondent's 13 Octo-
ber communication.
The Issues
The following issues are:
1. Whether Respondent violated Section 8(a)(l)
and (5) of the Act by its failure to notify and bar-
gain with the Union prior to its decision to subcon-
tract its Tioga surface mine Operation to Magnum.
II.
Whether the Respondent violated Section
8(a)(1) and (5) of the Act by its failure to provide
the Union with information necessary and relevant
to the Union's processing of its grievance:
A A complete copy of the Island Creek/-
Magnum contract.
B. A copy of the sheets for the Tioga Surface
Mine for the last 18 months of production, 1977
to 1979.
C. A complete accounting of the repairs to the
equipment at the Tioga Surface Mine which were
performed at the direction of Magnum Mining
Company.
Analysis and Conclusions
1. FAILURE TO NOTIFY AND BARGAIN
The above facts, digested, indicate that Respondent
first mined at Tioga in 1971, utilizing its own employees,
all represented by the Union. These employees, besides
mining coal, did reclamation work as well as repair and
maintenance work on the equipment. They performed
these duties in accordance with the existing collective-
bargaining agreement until 1979.
During the 1970s the Respondent worked the Tioga
surface mine full time, stripping during two shifts and
loading on the third shift. Equipment used included end-
loaders, bulldozers, and a shovel. Respondent's employ-
ees included equipment operators, a drill crew, powder-
men, mechanics, welders, electricians, and maintenance
personnel. Coal mined at Tioga was sent to a preparation
plant to be washed. After closing the mine in June 1979,
Respondent did not do any mining at Tioga except for a
small amount incidental to some reclamation work, work
which is not here in issue.
In late 1985 Respondent became aware of the avail-
ability of a short-term spot market contract for coal at a
production level of 700 to 800 tons per day. An internal
cost analysis was undertaken to determine whether it
would be more beneficial for the Company to undertake
the mining at Tioga with its own unit employees or to
contract out the mining to another mining company. It
was determined that because the contract would be short
term and the production small, it would be better to con-
tract out the operation to another company rather than
invest all the necessary moneys into equipment required
to startup the operation. Several mining companies were
henceforth contacted to see if any of them would be in-
terested in mining the Tioga coal. The decision concern-
ing whether to subcontract at all was strictly a financial
consideration as was the choice of which company to
subcontract the operation to. Finally, as noted, Magnum
was chosen as the subcontractor and the contract was
signed in April 1986. Subsequently, Magnum mined coal
for Respondent, the coal being hauled to Respondent's
preparation plant where it was commingled with the coal
of other subcontractors, then washed or sold raw by Re-
spondent to its customers. Under its contract with
Magnum, Respondent made available to that subcontrac-
tor the same equipment and services that it had made
available to its own employees in the 1970s. The work
performed by Magnum's employees was the same type of
work performed at the same site in the 1970s by Re-
spondent's own unit employees.12 This included both the
actual mining of coal and the repair and maintenance of
the equipment by Magnum's employees and the sub-sub-
contracting by Magnum of some repair work. Magnum's
12 The augers brought to the site by Magnum are of little or no signifi-
cance . Since work began in April and was scheduled, at the time of the
hearing, to be completed in October, and since the augers were not deliv-
ered to the site until August, they were either never used or were used
very little
858
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
production and its failure to meet its assigned quota was
closely monitored by Respodent's managerial personnel
just as it had monitored its own production at Tioga in
the 1970s.
The record clearly reflects, as alleged in the com-
plaint, that Respondent entered into its contract with
Magnum Mining Company for the mining of coal at the
Tioga surface mine, which had been previously mined by
employees of Respondent in the unit, and that it did so
without prior notice to the Union and without having af-
forded the Union an opportunity to negotiate and bar-
gain as the exclusive representative of Respondent's em-
ployees regarding such acts and conduct and the effects
of such acts and conducts in violation of Section 8(a)(1)
and (5) of the Act. As found in Fiberboard Corp., " the
replacement of employees in an existing bargaining unit
with those of an independent contractor to do the same
work under similar conditions of employment is a statu-
tory subject of bargaining under Section 8(d) of the Act.
Respondent's decision, in the instant case, to subcontract
instead of recalling laid-off workers was based on labor
costs. There was no change in the nature or direction of
the business since Magnum continued to operate the
Tioga surface mine in the same manner as Respondent
had done previously, with the same equipment. Respond-
ent's decision regarding subcontracting was clearly ame-
nable to possible resoultion through the collective-bar-
gaining process. Indeed, the Union on other occasions
had granted concessions to employees in order to reach a
satisfactory agreement, and there is no showing in the in-
stant case that negotiations could have resulted in agree-
ment.
Under the circumstance of this case Respondent's fail-
ure to afford the Union an opportunity to bargain over
its decision to subcontract and the effects thereof de-
prived the Union of its rights guaranteed under the Act.
Pennsylvania Energy Corp." Respondent thus violated
the Act.
II. RESPONDENT'S FAILURE TO PROVIDE A COMPLETE
COPY OF THE ISLAND CREEK/MAGNUM CONTRACT
Regarding the allegation that Respondent violated
Section 8(a)(1) and (5) by refusing to furnish the Union
with a complete copy of the Magnum/Island Creek con-
tract the record reveals that Miller, on 21 May, sent a
letter to Bassett requesting a copy of the contract, advis-
ing him that the Union needed the document in order to
enable it to effectively process the grievance filed by
Hayes on 19 May. As noted, Respondent did not imme-
diately furnish the Union with a copy of the contract.
On 30 May, at the third-step grievance meeting Miller
accused Respondent of violating article 1(A)(h)(6) of the
contract by failing to furnish the Union with a copy of
its contract with Magnum. Although the cited article
does not, in fact, require Repondent to supply the Union
with a copy of the contract in question, it is clear that
Miller was, in effect, renewing his request for a copy.
Bassett, on this occasion, advised Miller that he would
call him once Respondent's attorneys had made a deci-
' 8 379 U S. 203 (1964)
14 274 NLRB 1153 (1985)
sion on whether to furnish the Union with a copy of the
requested document.
On 13 June, Miller met with Bassett in the latter's
office. On this occasion Bassett permitted Miller to
review a copy of the Magnum contract and take notes
from it. The document shown to Miller, however, was
incomplete in that all monetary figures had been deleted.
Miller objected to the fact that the document was incom-
plete and insisted that the Union had to have the missing
information in order to present its case at arbitration.
Bassett again told Miller that he would relay Miller's
message to Respondent's attorneys.
After the Union filed its charge on 26 June based on
Respondent's failure to provide it with the requested in-
formation, Respondent on 7 July sent to Miller the same
abridged version of the Magnum contract that he had
been permitted to examine in Bassett's office. Although
Miller subsequently renewed his request for a complete
copy of the document including the monetary figures,
Respondent has continued to refuse to supply the re-
quested information.
On the day before the hearing in the instant proceed-
ing Respondent again refused to provide the financial
figures contained in the Magnum contract because those
figures were considered confidential in that "releasing
that information could have significant adverse impact
on our operations and our sales, particularly in this
highly competitive market for coal." Rather than furnish
the requested figures, Respondent offered, in the alterna-
tive, to compare the cost sheets for the 18-month period
requested by the Union with price per ton, the Company
agreed to pay Magnum Mining Corporation and provide
the difference between the figures to the Union. Re-
spondent also offered to have a mutually acceptable third
party confirm the accuracy of its figures. The Union has
rejected Respondent's alternative offer.
The General Counsel takes the position that the mone-
tary figures contained in the Magnum contract represent
the hardcore evidence necessary to convince the arbitra-
tor that the grievance is meritorious. The Union plans to
show that the figures contained in the contract, when
compared with the 1977-1979 cost sheets, prove that Re-
spondent subcontracted out the Tioga operation for
purely financial reasons. This, in turn will prove, accord-
ing to the Union's theory, that Respondent subcontracted
out the Tioga operation solely to avoid the application of
the 1984 NBCWA in violation of section IA(h)(1) of that
collective-bargaining agreement.
Respondent takes the position that the financial infor-
mation contained in the Magnum contract is confidential
and privileged because this information reflects Respond-
ent's mining costs which in turn permits it to determine
what it can bid on the spot and long-term contract
market. Respondent posits that if competitors were to
come into possession of this information they could de-
termine what Respondent's bids might be and thereby
underbid Respondent for other jobs. Further, Respond-
ent argues that having one contractor know that another
contractor has been offered more or less than itself, cre-
ates havoc in the coal mining contractor business com-
munity.
ISLAND CREEK COAL CO.
In NLRB v. Acme Industiral Co.,15 the Supreme Court
dealt with a situation similar to the one here extant.
There, a collective-bargaining agreement,
which con-
tained procedures for processing grievances culminating
in compulsory, binding arbitration provided that it was
respondent employer's policy not to subcontract work
that was normally performed by employees in the bar-
gaining unit. During the contract term certain machinery
was removed from the plant, and in response to the
Union's query respondent stated that there was no viola-
tion of the agreement and barring exceptional or special
circumstances should be furnished to the Union.
The Respondent argues that the monetary figures con-
tained in the requested contract are confidential and if
made public would place it at a disadvantage in the very
competitive coal contracting business. The record, how-
ever, reflects that the Magnum/Island Creek contract
was singularly unsuccessful and plagued with problems.
The outmoded equipment used continuously broke down
and Magnum was able to mine little more than 10 per-
cent of the coal that had been contracted. Indeed, the
project was in the process of being abandoned at the
time the hearing was being concluded. I cannot believe
that Respondent plans any similar operation in the future
so that the monetary figures contained in the contract
would be totally valueless to any competitor relying on
them to outbid the Respondent. Ordinarily, where an
employer transfers unit work to another company, the
union is entitled to the information necessary for it to de-
termine whether the transfer was in violation of the con-
tract and to decide whether it should file a grievance and
proceed to arbitration.16 If an employer refuses to make
the requested information available because the informa-
tion is confidential, the burden of proving confidentiality
is on the employer.'' I do not believe the Respondent
has done so in the instant case. Granting, arguendo, that
the information requested was, in fact, confidential and
Respondent did meet its burden of proving the confiden-
tial nature of the information requested, still it is viola-
tive of the Act for an employer to refuse to make the
information available where there is no evidence that
would show that if the information were made available,
its confidentiality would, in some way, be abused.' 8 In
the instant case, Miller made it clear on the record that if
Respondent made the requested information available to
him, he would use it for purposes of enforcing the con-
tract through the grievance and arbitration proceedings
and would not divulge the information to unauthorized
third parties. With these considerations in mind, I find
that Respondent violated Section 8(a)(1) and (5) by fail-
ing to provide the Union with a complete copy of the
Island Creek/Magnum contract.
15 385 U S 432 (1967)
16 Soule Glass & Glazing Ca v NLRB, 652 F.2d 1055 (1st Cit. 1981),
Boston University, 210 NLRB 330 (1974)
17 Boston University, supra, E
W Buschman Co, 277 NLRB (1985),
Washington Gas Light Co, 273 NLRB 116 ( 1984) East Texas Fire Protec-
tion Co, 265 NLRB 173 (1982)
18 Designcrojt Jewel Industries, 254 NLRB 791 (1981)
859
III. RESPONDENT'S FAILURE TO PROVIDE COST
SHEETS FOR THE TIOGA SURFACE MINE FOR THE
LAST 18 MONTHS OF PRODUCTION, 1977-1979
Regarding allegation that Respondent violated Section
8(a)(1) and (5) by refusing to furnish the Union with cost
sheets for the Tioga surface mine for the last 18 months
production, 1977-1979, the record reveals that Miller, at
the meeting of 30 May, asked Bassett for a copy of the
cost sheets in question and fully explained the Union's le-
gitimate need for the information to adequately pursue its
contractual rights through arbitration. Bassett refused to
supply Miller with the requested cost sheets because the
passage of time since 1977-1979 and the changes in
working and economic conditions made the requested in-
formation irrelevant.
Miller, by letter dated 3 June, renewed his request for
the 1977-1979 cost sheets. When the information was not
forthcoming Miller, on 26 June, filed a charge with the
Board based on Respondent's failure to produce this and
the other information requested earlier.
On 13 October, in a position paper furnished to Miller
by Bassett, the latter reiterated Respondent's position re-
garding furnishing the 1977-1979 cost sheets. In the al-
ternative, however, Bassett offered to have Respondent
compare the 1977-1979 cost sheets with the price per ton
that the company had agreed to pay Magnum Mining
Corporation and to provide the Union with the differ-
ence. Bassett noted that although Respondent still felt
that the information requested was irrelevant, the alter-
native offer made sufficient information available to the
Union for its purpose while still maintaining the confi-
dentiality which had to be protected. Although Respond-
ent had maintained all along that the cost sheet informa-
tion was irrelevant, this position paper contained the first
indication that it also considered the 1977-1979 cost
sheets confidential.
The General Counsel takes the position that the 1977-
1979 cost sheets, like the monetary figures contained in
the Magnum contract, represent the hardcore evidence
necessary to convince the arbitrator that the grievance is
meritorious; that when the two are compared, it will
prove that Respondent subcontracted out the Tioga op-
eration for purely financial reasons, in turn proving that
Respondent did so in order to avoid the application of
the 1984 NBCWA in violation of section IA(h)(1) of that
collective-bargaining agreement.
Respondent, as more
fully described above, takes the position that the request-
ed information is irrelevant.
In support of the position taken by the Union, the
General Counsel cites Kris-Beth,"" in which the United
States Court of Appeals for the Fourth Circuit found in
favor of the union involved there, affirming the earlier
arbitrator's decision. In that case, as here, the company
contracted out certain mining operations. The union
grieved the contracting, contending that the employer
was motivated by a desire to avoid its collective-bargain-
ing obligations under the National Bituminous Coal
Wage Agreement. To prove its allegations the union in
the Kris-Beth arbitration presented evidence of economic
19 4th Cir, February 27, 1986, unpublished
860
DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
motivation which included a copy of the contract be-
tween the employer and the contractor, which contained
monetary figures and cost of production figures at mines
operated by the employer. The court, in affirming the ar-
bitrator's decision on behalf of the union, took special
note that the arbitrator relied on the evidence adduced at
the hearing to find economic motivation and a desire on
the part of the company to avoid its obligations under
the existing collective-bargaining agreement . The Gener-
al Counsel argues convincingly that the information
relied on by the union in Kris-Beth was relevant to that
arbitration hearing and is therefore relevant to the
planned arbitration of the issues involved in the current
dispute between the parties herein since the issues in
Kris-Beth and the issues sought to be arbitrated by the
parties herein are virtually identical . I am persuaded that
the requested cost sheets are relevant and necessary for
the Union to pursue its right to arbitrate the issue of con-
tract violation.
Moreover, it is quite clear that the cost sheets that the
Union intends to use as evidence in the forthcoming arbi-
tration hearing are not accessible to it except through the
Respondent. If Respondent is permitted to withhold this
information, the Union's case before the arbitrator would
seriously be undermined and Respondent will have suc-
ceeded in preventing the Union from pursuing its rights
under the collective-bargaining agreement to which both
parties have agreed.
As to Respondent's argument that the 1977-1979 cost
sheets are no longer relevant because of the passage of
time and the changes both in working and economic
conditions, the General Counsel is correct in pointing
out that this information, nevertheless, contains the most
recent usable figures and therefore the most relevant fig-
ures available. Regarding the changes in working condi-
tions and in the economic situation in the coal mining in-
dustry since 1977, these matters are more appropriate for
the arbitrator to consider and weigh in rendering his de-
cision on the ultimate issue. To determine, in advance,
that these considerations preclude the use of the 1977-
1979 cost sheets at the arbitration hearing would deci-
sively foreclose the Union from presenting its case to the
arbitrator. I am not prepared to do this.
Finally, Respondent argues that it has made an alterna-
tive offer which should suffice for the Union's purposes.
But what Respondent offers to do is to act as agent for
the Union in presenting evidence in an arbitration hear-
ing against itself. I see no reason why the Union should
be forced to accept such an offer. The Union should be
able to pursue its rights in a manner it deems most ap-
propriate. Although Respondent has cited a number of
cases where the Board or the courts have decided that
the alternative information offered by the company
would suffice, all cases cited are easily distinguishable on
the facts.2° On the other hand the Board has frequently
20 Plough. Inc., 262 NLRB 1095 (1982); Emeryville Research Center Y.
NLRB, 441 F.2d 880 (9th Cir. 1985); Minnesota Mining & MJk Co., 261
NLRB 27 (1982), affd sub nom. Oil Workers Local 6-418 v. NLRB, 711
F.2d 348 (D C Cir 1982)
required an employer to provide financial information to
a union where such information has proven relevant and
necessary for the union to pursue its contractual obliga-
tions and/or to determine whether to take a contractual
issue to arbitration. 21 I shall recommend that Respond-
ent be ordered to provide the Union with the requested
cost sheets for the Tioga surface mine for the last 18
months of production, 1977-1979.
IV. RESPONDENT'S FAILURE TO PROVIDE A
COMPLETE ACCOUNTING OF THE REPAIRS TO THE
EQUIPMENT AT THE TIOGA SURFACE MINE WHICH
WERE PERFORMED AT THE DIRECTION OF MAGNUM
MINING COMPANY
Regarding this allegation the record reveals that
Miller, at the meeting of 30 May, asked Bassett for a
complete accounting of the repairs to the equipment at
the Tioga surface mine, which were performed at the di-
rection of Magnum Mining. Miller gave Bassett a com-
plete and cogent explanation as to the reasons why the
information was required . On 3 June Miller reiterated his
request in writing. When the information was not forth-
coming, Miller, on 26 June, filed a charge based on Re-
spondent's failure to provide the requested equipment
repair information . In its 13 October position statement
Bassett stated that Respondent had no records or infor-
mation concerning equipment repairs made at Tioga by
Magnum.
According to testimony provided by Respondent's
witnesses, inquiries were made of knowledgeable mem-
bers of its management concerning the existence of
records that might shed light on the nature and costs of
equipment repair at the Tioga surface mine. The uncon-
troverted testimony was that members of Respondent's
management had neither knowledge nor record informa-
tion concerning repairs made by Magnum to equipment
at the Tioga surface mine operation. Respondent denied
that it had made any repairs itself and supplied an affida-
vit to this effect as required.22 Under the circumstances
I conclude that Respondent was not in possession of the
requested information. I cannot therefore recommend
that it be found in violation of the Act by refusing to
provide information that it does not possess .23 I shall
therefore recommend dismissal of this allegation.
V. THE EFFECT OF THE UNFAIR LABOR PRACTICES
ON COMMERCE
The activities of Respondent set forth above, occur-
ring in connection with its operations described above,
have a close, intimate, and substantial relationship to
trade, traffic, and commerce among the several States
and tend to lead to labor disputes burdening and ob-
structing commerce and the free flow of commerce.
21 NLRB Y. Acme Industrial Co, 385 U.S 432 (1967); Realty Mainte-
nance, 265 NLRB 1352 (1982); Des,gncrajt Jewel Industries, supra; Wash-
ington Star Co, 273 NLRB 391 (1984); East Texas Fire Protection Co.,
supra, E I. duPont & Co., 276 NLRB 335 (1985).
22 Doubarn Sheet Metal, 243 NLRB 821 (1979)
23 NLRB v. United Brass Works, 287 F 2d 689 (4th Cir 1961); Korn
Industries Y. NLRB, 389 F.2d 117 (4th Cir. 1967).
ISLAND CREEK COAL CO.
861
REMEDY
Having found that Respondent has engaged in unfair
labor practices warranting a remedial order, I shall rec-
ommend that it be ordered to cease and desist therefrom
and that it take certain affirmative action designed to ef-
fectuate the policies of the Act.
Respondent having unlawfully failed to bargain with
the Union over its decision to subcontract, I shall recom-
mend that it be ordered to bargain collectively with re-
spect to wages, hours, and other terms and conditions of
employment, including the decision to subcontract bar-
gaining unit work. I shall further recommend that it be
ordered to recall from layoff, assuming work is available,
those employees who would have been recalled absent
Respondent's unlawful conduct and make them whole
for any loss of earnings and other benefits. Earnings and
benefits are to be computed in accordance with F. W.
Woolworth Co., 90 NLRB 289 (1950), with interest as set
forth in New Horizons for the Retarded, 283 NLRB 1173
(1987). Finally, as I have found that Respondent refused
to give to the Union relevant information which it re-
quested for the purpose of enabling it to evaluate and
pursue its grievance, I shall recommend it be ordered to
furnish the Union with a complete copy of the contract
between Island Creek Coal Company and Magnum
Mining Comapny and cost sheets for the Tioga surface
mine operation for the 18-month period immediately pre-
ceding its closure in 1979.
CONCLUSIONS OF LAW
1. Respondent is an employer engaged in commerce
and in an industry affecting commerce within the mean-
ing of Section 2(6) and (7) of the Act.
2. The Union is a labor organization within the mean-
ing of Section 2(5) of the Act.
3. All employees employed at Respondent's Tioga
Mine, in the unit described in the National Bituminous
Coal Wage Agreement of 1984 constitute a unit appro-
priate for the purposes of collective bargaining within
the meaning of Section 9(b) of the Act.
4. The Union has been the exclusive collective-bar-
gaining representative of Respondent's Tioga Mine em-
ployees in the unit for at least 10 years during which
period the Union has been recognized as such by Re-
spondent. Such recognition has been embodied in succes-
sive collective-bargaining agreements the most recent of
which is effective by its term through 31 January 1988.
5. By failing and refusing to bargain about subcontract-
ing decisions, Respondent violated Section 8(a)(5) and (1)
of the Act.
6. By failing and refusing to provide a complete copy
of the contract between Island Creek Coal Company and
Magnum Mining Company and cost sheets for the Tioga
surface mine operation for the 18-month period immedi-
ately preceding the Tioga surface mine's closure in 1979,
Respondent violated Section 8(a)(5) and (1) of the Act.
7. By failing to provide a complete accounting of the
repairs to the equipment at the Tioga surface mine that
were performed at the direction of Magnum Mining
Company, Respondent did not violate the National
Labor Relations Act.
8. The aforesaid unfair labor practices are unfair labor
practices affecting commerce within the meaning of Sec-
tion 2(6) and (7) of the Act.
[Recommended Order omitted from publication.]